Norfolk County

Norfolk County sits at a gross rent-to-price ratio of 0.0471, which translates to a 3.06% cap rate on a standard underwrite. At a $768,983 median purchase price and $3,016 median monthly rent, this market falls squarely on the appreciation end of the spectrum, not the cash-flow end. The model mortgage at 6.85% runs $4,031 per month, and once you add estimated expenses of $1,056, total carry exceeds gross rent by roughly $2,071 every month. That produces a cash-on-cash return of negative 14.05% on a 20% down payment. Year-over-year price growth is running at 1.03%, which is modest, not a screaming appreciation play either. The overall score of 47 out of 100, landing in the 19th percentile nationally, is consistent with a market that is expensive relative to the income it generates from rents and isn't growing fast enough to make up the gap quickly.

The negative cash-on-cash figure settles the question of who this market is not for: it is not for a buyer whose thesis depends on month-one positive cash flow. At negative $2,071 per month, you need genuine conviction on price appreciation or a clear value-add angle to justify the entry price. An appreciation buyer with a long hold horizon can find some rationale here. The affordability index of 36 and median household income of $120,621 suggest a population that is not on the verge of abandoning homeownership aspirations, which does provide a floor under prices and continued rental demand from households who are priced out of buying. A value-add operator could potentially outperform the median rent figures if a specific asset is meaningfully below market, but the cap rate environment at 3.06% leaves almost no room for error on renovation cost overruns or lease-up timing.

The tax and insurance picture is not a swing factor here, but it is worth a line on your underwrite. The combined monthly tax and insurance estimate comes to $955, which is already baked into the $1,056 expense figure above. The state-average effective property tax rate used here is 1.23%, flagged as normal, so it is not the outsized drag you see in some Northeast markets. Keep in mind this is a state-average estimate per Tax Foundation 2024 data, and actual county and township rates in Norfolk can differ, so confirm the specific parcel's bill before closing. The insurance component at 0.26% annually adds $1,999 per year, which is modest for Massachusetts given coastal exposure in parts of the county.

The most direct risk in Norfolk is the entry price itself. At $768,983 median, your buyer pool for a future exit is concentrated among high-income households and institutional-grade buyers. If credit tightens or mortgage rates move higher, price support weakens because the market is already running at an affordability index of just 36. There is no provided vacancy data, but a market this expensive with a 1.03% price growth rate is not one where you can assume rapid rent escalation to bail out a stretched underwrite. Regulatory risk in Massachusetts is a real consideration for landlords generally, though no specific local ordinance data is provided here.

Comparing Norfolk to its neighbors sharpens the picture. Middlesex County has a slightly higher median price at $790,411 but a lower rent-to-price ratio of 0.0439, making it worse on cash flow with a comparable overall score of 46. Essex County comes in at $698,257 median with a 0.0443 ratio and a 46 overall score, cheaper to enter but not meaningfully better on yield. Suffolk County at $747,013 median actually runs the best rent-to-price ratio in the group at 0.0531, driven by its $3,307 median rent, though its overall score of 45 is slightly lower than Norfolk's. Bristol County at $524,316 and Worcester County at $481,357 are the outliers worth examining: Worcester scores 53 overall, carries a 0.0523 rent-to-price ratio, and costs roughly $287,000 less at the median. An investor prioritizing yield and total capital at risk should be looking hard at Worcester County before committing to Norfolk. The only case for choosing Norfolk over these neighbors is if your investment thesis is explicitly tied to the suburban Boston wealth corridor, long-term land value, or a specific asset trading at a meaningful discount to the median that the county-level numbers cannot capture.